CLX Value Scorecard - Clorox

Value Scorecard · run 2026-10-18

13 value checks: 12 scored 1 to 5, plus moat evidence

33/60

low-moderate value score

Earnings & returns

EPS Trend

4/5

Diluted EPS: $3.73 (2022), $1.20 (2023), $2.25 (2024), $4.81 (2026). It rose every year but one and ended above 2022; the framework scores that as 4.

ROE Trend

5/5

ROE (net income / common equity): 67.7% (2023), 85.4% (2024), 252.3% (2025), 652.2% (2026). Median 168.9%, lowest 67.7%; the framework scores a median above 20% as 5.

ROIC

5/5

ROIC of 32.0%: earnings before interest and taxes of $1.17B (pre-tax income $1.08B plus interest expense $88.00M; the 10-K's financial data has no standard operating income figure) divided by $3.64B of capital (total assets $5.56B minus current liabilities $1.92B), fiscal year to Jun 30, 2025, as filed in the 10-K (SEC EDGAR). The framework scores above 20% as 5.

Profit Margins

3/5

Net margin of 8.7%; the framework scores 5-10% as 3; gross margin 42.3%, operating margin 12.9%.

Balance sheet & cash

Debt-to-Equity

1/5

Debt-to-equity of 22.21; the framework scores above 2.5 as 1 (total debt $5.60B, total cash $143.00M).

Free Cash Flow

1/5

Free cash flow (operating cash flow minus capital expenditure): $930.00M (2023), $483.00M (2024), $761.00M (2025), $405.00M (2026). The latest figure is half the 2023 figure or less; the framework scores that as 1.

Retained Earnings

1/5

Retained earnings, as filed in the 10-Ks (SEC EDGAR): $1.05B (2022), $583.00M (2023), $250.00M (2024), $432.00M (2025). The latest figure is half the 2022 figure or less; the framework scores that as 1.

Valuation models

Graham IV

5/5

IV = EPS x (8.5 + 2g) x (4.4 / Y) = $4.81 x (8.5 + 2 x 20.0) x (4.4 / 4.5) = $228.10 (EPS CAGR 100.2% capped at 20%). Current price $87.09; price is 61.8% below the model value.

DCF Value

1/5

FCF/share = $0.913, stage 1 growth = 0.0% (revenue CAGR -2.7% floored at 0%; the company is valued as if it does not grow rather than extrapolating the decline) for 5 years, terminal growth = 3%, discount rate = 10%. Stage 1 PV = $3.46, PV of terminal value = $8.34, DCF value = $11.80. Current price $87.09; price is 638.2% above the model value.

Margin of Safety

3/5

Graham value $228.10 (price is 61.8% below the model value); DCF value $11.80 (price is 638.2% above the model value).

Price-to-Book

1/5

P/B of 117.06; the framework scores above 5.0 as 1.

Business quality

Moat Evidence

Not scored

A moat (a brand, a network, switching costs, patents, scale, a licence) is not a number in the filings, so Valerius doesn’t score it. Below are the figures and the words moat analysis starts from, from the company’s own 10-K filings. The conclusion is yours.

Return on capital, each year

Above 15% in 8 of 10 years (2016-2025); lowest 8.1%, highest 40.6%.

Gross margin, each year

Between 35.8% and 45.6% over 10 years (a range of 9.8 points).

Competition, in the company’s own words · 10-K filed Aug 7, 2026

The markets for consumer products are highly competitive. The Company’s products compete with other nationally advertised brands and with “private label” brands within each category. Competition comes from similar and alternative products, some of which are produced and marketed by major multinational or national companies having financial resources greater than those of the Company. In addition, the Company faces

The opening of the company’s “Competition” section in its 10-K, quoted word for word, not summarized or edited. It is the company’s own description, not Valerius’s view, and may include the company’s expectations. Open the filing.

Return on capital = operating income / (total assets − current liabilities), the ROIC row’s definition; 15% is the framework’s return threshold. For a year whose 10-K financial data has no standard operating income figure, earnings before interest and taxes (pre-tax income plus interest expense) is used. Gross margin = gross profit / revenue. Both from each year’s 10-K via SEC EDGAR. Moat analysis commonly looks at whether returns and margins held up over many years. These figures don’t say whether the company has an advantage, what it is, or whether it will last.

Capital Allocation

3/5

Capital allocation, 2023-2026: dividends or buybacks paid in every year (pass); $2.97B paid out against $2.58B of free cash flow (fail: paid out more than free cash flow); total debt $2.92B to $5.52B, up 88.8%, 4.7x EBITDA (fail: up more than 10% and above 2x EBITDA); shares outstanding 0.12B to 0.12B, down 2.3% (pass). 2 of 4 tests passed; the framework scores that as 3.

Filings

Company notices to the SEC

Not scored

Three kinds of event the company reported to the SEC in the last 5 years, from its filings on SEC EDGAR.

These are events the company reported to the SEC. An auditor change or a late filing can have many causes; each date links to the filing, where the company explains it. Valerius does not score these.

How the Graham and DCF values were calculated

  Graham Formula:
    IV = EPS x (8.5 + 2g) x (4.4 / Y)
    EPS = $4.81, g = 20.0%, Y = 4.5
    g capped at 20.0% (3-year EPS CAGR was 100.2%)
    IV = $228.10
    Current price $87.09 vs Graham value $228.10 — price is 61.8% below the model value.

  DCF:
    FCF/share = $0.913
    Stage 1 growth = 0.0% for 5 years | terminal growth = 3.0% | discount rate = 10.0%
    Stage 1 g floored at 0.0% (3-year revenue CAGR was -2.7%; the company is valued as if it does not grow rather than extrapolating the decline)
      Y1: $0.913 → PV $0.830
      Y2: $0.913 → PV $0.754
      Y3: $0.913 → PV $0.686
      Y4: $0.913 → PV $0.623
      Y5: $0.913 → PV $0.567
    Stage 1 PV sum = $3.46
    Terminal value at end of Y5 = $13.43
    PV of terminal value = $8.34
    DCF value = $11.80
    Current price $87.09 vs DCF value $11.80 — price is 638.2% above the model value.

Data from yfinance summary figures and financial statements, and from the company’s 10-K filings via SEC EDGAR; computed at a price of $87.09. Every score is calculated from the figures by the framework’s fixed rules, and the explanation beside it is generated from the same figures: Graham value, DCF value, margin of safety, ROIC, profit margins, debt-to-equity, price-to-book, EPS trend, ROE trend, free cash flow, retained earnings and capital allocation. No AI is involved in this scorecard. The moat is shown as evidence, without a score. Read each score with the figures beside it. Intrinsic value calculations are model outputs based on stated assumptions, not predictions.

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